Latest news with #indieSemiconductor
Yahoo
3 days ago
- Automotive
- Yahoo
indie Semiconductor Announces New Employee Inducement Grants
ALISO VIEJO, Calif., June 06, 2025--(BUSINESS WIRE)--indie Semiconductor (Nasdaq: INDI), an automotive solutions innovator, today announced that it has granted equity awards (the "Inducement Grants") under its 2023 Inducement Incentive Plan to new employees who joined indie. The grants were previously approved by the Compensation Committee of the Board of Directors of indie Semiconductor. Information regarding the equity awards can be found on the company's investor relations website at: About indie Headquartered in Aliso Viejo, CA, indie is empowering the automotive revolution with next generation semiconductors, photonics and software platforms. We focus on developing innovative, high-performance and energy-efficient technology for ADAS, in-cabin user experience and electrification applications. Our mixed-signal SoCs enable edge sensors spanning Radar, LiDAR, Ultrasound, and Computer Vision, while our embedded system control, power management and interfacing solutions transform the in-cabin experience and accelerate increasingly automated and electrified vehicles. As a global innovator, we are an approved vendor to Tier 1 partners and our solutions can be found in marquee automotive OEMs worldwide. View source version on Contacts Investor Relationsir@
Yahoo
13-05-2025
- Business
- Yahoo
Q1 2025 indie Semiconductor Inc Earnings Call
Donald McClymont; Chief Executive Officer, Director; indie Semiconductor Inc Operator Good afternoon, and welcome to indie Semiconductor's first quarter 2025 earnings call. (Operator Instructions) As a reminder, this conference is being recorded. I will now turn the call over to Ashish Gupta, Investor Relations. Mr. Gupta, please go ahead, sir. Thank you, operator. Good afternoon, and welcome to indie Semiconductor's first quarter 2025 earnings call. Joining me today are Donald McClymont, indie's CEO and Acting CFO; and Mark Tyndall, Head of Corporate Development and Investor Relations. Donald will provide opening remarks and discuss business highlights. Mark will then provide a review of indie's Q1 results and Q2 note that we'll be making forward-looking statements based on current expectations and assumptions, which are subject to risks and uncertainties. These statements reflect our views only as of today and should not be relied upon as representative of our views as of any subsequent date. These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from expectations. For material risks and other important factors that could affect our financial results, please review our risk factors in our annual report on Form 10-K for the fiscal year ended December 31, 2024, as well as other public reports filed with the the results and guidance discussed today are based on consolidated non-GAAP financial measures such as non-GAAP gross margin, non-GAAP operating loss, non-GAAP net loss and non-GAAP net loss per share. For a complete reconciliation to GAAP and the definition of non-GAAP reconciling items, please see our earnings press release, which was issued in advance of this call and can be found on our website at I'll now turn the call over to Donald. Donald McClymont Thanks, Ashish, and welcome, everybody. Let me first review our financial performance within the context of the overall automotive market before focusing on indie's business achievements. During the first quarter, indie achieved total revenue of $54.1 million, representing a relatively robust performance given the current automotive market sentiment. During the quarter, we saw weaker-than-expected demand at certain OEMs, coupled with a slower start to the year in China. Since our previous earnings call back in February, the global macroeconomic environment has changed important to note upfront that the new US trade policies and resulting tariffs on imported automobiles and vehicle parts, which were announced in early April, have had minimal direct impact on indie's operations to Asian manufacturing partners ship very little directly to the US, and we maintain a globally diversified supply chain that provides significant resilience against such policy shifts. The only exception being some photonics components from our Canadian facility, which were marginally our direct exposure is limited, tariffs are impacting overall market sentiment and creating uncertainty across the automotive industry. Multiple OEMs have recently announced a reduction in vehicle production, temporary layoffs or paused shipments to the US We expect other OEMs to follow. Consequently, we anticipate vehicle prices for US consumers may increase by several thousand dollars, which could ultimately lead to a drop in end vehicle we are not fully immune, our diverse product portfolio and new product ramps should mitigate any broader market market analysts, including S&P Global Mobility, are now forecasting a reduction in global vehicle sales of 1.3 million in 2025. In the specific case of the US, imports of vehicles, engines and parts represent $458 billion in global trade, and the planned tariffs will impact over half of the vehicles sold in the US with analysts forecasting that average US vehicle prices will increase by over 9% in 2025.I spoke last quarter about how 2025 will be an important year for indie's as we introduce new products and our customers ramp our solutions across our multiple ADAS sensing and user experience applications. Despite the challenging market backdrop, we continue to secure new design wins across a global customer base, leveraging our highly differentiated and innovative technologies. Notably, vision and radar design wins are on track to ramp production in the second half of 2025 and continue through 2026. Now let me turn to our notable business progress and key achievements during the first quarter. ADAS is the major long-term focus for indie and a core driver of our future engineering expertise and innovation across analog and mixed signal design and world-leading in-house algorithmic expertise sets us apart from our peer group, enabling an unrivaled product portfolio across all ADAS sensing modalities, including radar and vision. First, our flagship 77 gigahertz radar solution is progressing well with excellent feedback from our lead Tier 1 customer with on-road testing results demonstrating compliance to all key performance specifications. North American, Chinese and European OEM feedback to our lead customer indicates the product has been extremely well received. Initial production orders and shipments by our customer with these OEMs remains firmly on track for late 2025. Equally important, during the first quarter, momentum remains strong for our vision portfolio, featuring our class-leading proprietary image signal we secured a new design win for our flagship iND880 processor with Valeo, a leading European Tier 1 for in-cabin monitoring, including thermal sensing capability for a North American OEM targeting production deployment in 2028. In addition, we were awarded an eMirror design win for iND880 with a Korean OEM targeting trucks and buses with first on-the-road deployments commencing at the end of this year. Last quarter, I mentioned our growing success in China for vision applications such as eMirror and in-cabin monitoring. I'm pleased to report our traction continued with further wins for our GW5 vision processor, including at Mercedes China with YF Tech, the largest eMirror supplier in China and an in-cabin monitoring win for BYD targeting production starting in the fourth quarter of this finally, our global partnership with Bosch continues. We were recently selected for an additional high-volume in-cabin monitoring deployment with Toyota. To emphasize the importance of the product lines, we anticipate that each of the radar and vision portfolios will generate well in excess of $100 million incremental annual we highlighted last quarter that we see growing applications for our existing products in automotive adjacent segments, particularly in industrial that we plan to exploit. I'm pleased to share that our photonics group have already secured notable design wins for our existing high-performance laser products for industrial and quantum communications applications, which offer tremendous potential for the and dynamic market conditions, which we cannot control, have become part of doing business within the automotive market in recent times. What is key is that indie has maintained a laser focus on developing market-leading solutions and deep commercial partnerships to address the long-term and substantial automotive semiconductor opportunity. And in this regard, I am pleased to share that indie has now shipped greater than 500 million chips cumulatively since our inception. This is a fantastic testament to the incredible value our solutions bring to Tier 1s and OEMs alike and to our global operations and customer support expertise. While we expect sentiment to remain volatile, we continue to expect vehicle semiconductor content will grow strongly beyond today's average $1,000 per vehicle propelled by global safety and emissions regulations and unrelenting consumer demand for the best in-cabin user experiences. Indie's positioning as a supplier of compelling differentiated solutions to address the transformative automotive megatrends remains robust.I will now turn the call over to Mark for a review of our Q1 results and Q2 outlook. Thank you, Donald, and good afternoon, everyone. indie's first quarter revenue of $54.1 million increased 3.3% from a year ago, but was marginally below the midpoint of our revenue outlook, while non-GAAP gross margin of 49.5% was within expectations. R&D expense was $30.8 million with SG&A of $11.1 million, bringing total operating expenses to $41.9 million, consistent with our outlook. As a result, our first quarter non-GAAP operating loss was $15.1 million. With net interest expense of $1.6 million, our net loss was $16.7 million and loss per share was $0.08 on a base of 211.5 million to the balance sheet. We exited the first quarter with total cash, including restricted cash of $246.9 million, down from $284.5 million in the fourth quarter, reflecting a net reduction of $37.6 million during the quarter. Cash usage in the quarter was higher than normal, primarily driven by payment and collection timing-related factors, specifically $10 million related to accounts payable and $11 million for accounts receivable, which we expect will normalize. Moving to our outlook. With current market uncertainties impacting the overall automotive environment, for the second quarter of 2025, we expect to deliver revenue within the range of $50 million to $53 million or $51.5 million at the on the anticipated product mix, we expect second quarter gross margins to be in the range of 48% to 50%. We expect OpEx of $39.8 million with approximately $29 million of R&D expense and $10.8 million of SG&A expense. Below the line, we expect net interest expense of approximately $1.8 million with no cash tax expense. Assuming the midpoint of the revenue ranges and with a base of 215.2 million shares, we expect an $0.08 net loss per share. While our outlook for the second quarter is flat year-on-year and modestly down sequentially, we remain confident in and committed to our innovation and growth Donald described earlier, the fundamental automotive semiconductor market trends are strong and persist despite the macro will continue to focus on ramping our customers with innovative value-add solutions, in particular for ADAS that allow them to bring differentiated technology to market while we maintain strong operational discipline. As always, we will remain nimble while navigating the current headwinds and emerge stronger, better positioned to maximize on the market's tremendous inherent mentioned on our last earnings call that we were in a review of our operating expenditure with the objective to reduce and accelerate our path to profitability. Given the current uncertain automotive market environment, this mandate has increased in strategic importance. We have now completed this review and just initiated the execution of a plan for a series of restructuring measures, where we will exit some of our lower-margin and less attractive product lines in addition to other cost reductions across the expect to see initial benefits from lower OpEx in the second quarter, meaningful benefits in the third quarter with full reductions hitting the P&L in the fourth quarter, where we expect to achieve a quarterly reduction of approximately $8 million to $10 million per quarter or approximately $32 million to $40 million on an annualized basis. This reduced level of OpEx will allow us to reach breakeven of a revenue base of approximately $65 million per I do want to stress none of our strategic ADAS programs will be impacted by these restructuring actions. We will continue to invest across hardware design, software and marketing resources, ensuring both our key radar and vision programs will ramp on schedule at our global OEM customers through 2025 and 2026. We believe prudent expense management, a healthy cash position and ramping programs position indie incredibly well to navigate current conditions and execute on the vast majority of our balanced approach will support our return to a strong growth profile as design wins ramp through 2025 and that, I'll turn the call back to Don for his closing comments. Donald McClymont The global trade dynamics have become unpredictable, and we have seen this manifest as a wait-and-see conservatism across our broad customer base. However, despite current challenges, the fundamental trend of increasing semiconductor content in vehicles continues unabated. indie's technology leadership and innovative and expanding product portfolio ensures that we are well positioned to emerge stronger from the current global trade and economic turbulence. No other semiconductor company has a product portfolio as broad as indie's to meet the diverse needs of the automotive megatrends, and this empowers indie to capitalize on the enduring market opportunity. That concludes our prepared remarks. Operator, please open the line for questions. Operator Thank you. We will now conduct a question and answer session. (Operator Instructions) Craig Ellis, B. Riley Securities. Donald, I wanted to follow up with the comment you made in your prepared remarks regarding vision and radar being on track to ramp in the second half of the year. One, I was hoping you could provide a little bit more qualitative color on the breadth of the ramp and the types of programs that you might be involved in, but also some quantitative color, give us a sense for how significant that ramp in the back half of the year would be. Donald McClymont It's great. So, I mean, we have many ones as we've spoken about over several quarters, with many applications ranging from in-cabn applications for driver monitoring, emails in the vision space, and now with our radar products, we're able to address, go forward facing and corner radars in that of these product lines as I mentioned compared to Mars, have the strong potential to be significantly greater than $100 million per year for us in each talked a lot about our strategic relationships with several OEMs. We called out Valleo and Bosch and prepared the marks today, and we are a little cautious as we look out into the second half of the year because there has been turbulence in the market, particularly the US and European a little bit of market share with the increased competition coming from the Chinese peers, but that being said, we remain confident in the peak of the ramp, timing and and steepness of the ramp is always a little hard to gauge, but other than that, we feel really good about where we are with all these programs. Got it. And then I'll ask the follow-up to Mark. Mark, I didn't catch in your commentary what you expected the fourth quarter OpEx level to be after the operating expenses are fully implemented. So can you please recap that? And then as we think about what that means for calendar '26 operating expense, not looking for guidance, but just qualitatively, how do we look at that base level of OpEx versus what would go forward from 4Q? For Q4, it's approximately [$33 million]. And then flat through the second half, 2026 second half. Operator Ross Seymore with Deutsche Bank. Just wanted to see the -- I know the crystal ball is difficult into the second half of the year and the technology is good according to what you said for both radar and vision. Is the biggest wildcard, the slope of the curve, the volumes at the launch? And what are you seeing with your customers on that? Is it more the timing of the launch? Is it the volume of the launch?Is it both of them? I'm just trying to kind of gauge the aggregate uncertainties. Donald McClymont Yes. I mean I think it's exactly, as you said, it's a little steepness and the of the ramp that it's harder to judge given the market uncertainties right now. We're seeing the start points staying relatively fixed and the models that are being targeted staying in the wildcard is how quickly it's going to ramp and how many deployments are going to subsequently happen after the first ramps occur. Again, we feel confident about the peak of the ramp and really at this point, managing the variance as we go forward. And then maybe for Mark or you, Donald as well. On the restructuring side of things, I know it's a difficult decision to do any sort of cuts and you didn't want to cut in a muscle, as you said. But if we put it in terms of your pipeline, your backlog where you talked about that's roughly $7 billion a few quarters ago, what sort of impact are these actions going to have on that number? Donald McClymont Very minimal. These are programs which basically, we have been spending road map dollars on developing further and the volumes have been somewhat disappointing, mostly based on obviously, not the ADAS space, but in the other spaces that we address in user experience. So in the short term, there'll be some NREs, which disappear, which are small, probably less than $1 million and then some smaller impact to the short-term revenue, again, somewhere in the region of $2 million to $3 million in the second half. But for the long term, we still expect to be able to execute on the vast, vast majority of our strategic backlog. Operator Anthony Stoss, Craig-Hallum. Donald, I just wanted to clarify one thing in the past, you were saying your goal is to be EBITDA breakeven in Q4. Now with, I guess, your breakeven being dropped to $65 million in revs, do you still expect to be EBITDA breakeven in Q4? And I have a okay, and And then your $7 billion of strategic backlog, I know you don't update that until November, but I'm just curious if there's been anything that's been taken out or if you can maybe just kind of quantitatively suggest that, that backlog is still growing. Donald McClymont I mean there's been some -- a few puts and takes in terms of timing. And we have also called out some new wins in the prepared remarks. So I mean, we'll update in the fourth quarter. But directionally, we're still going in the right direction and adding to it as we progress. Okay. And then lastly, I heard you talked about the radar being on track. Is Ficosa still on track for kind of Q4 time frame? Donald McClymont Radar is still largely on track. Ficosa have some challenges with our end customers, so there's likely to be some delay in that program, but still in the. Operator Cody Acree, The Benchmark Company. And maybe, Don, if we can start in China, you mentioned some increased competition there. Can you just talk specifically about what you're seeing in China directionally around the tariff increase environment? And then maybe more specifically expand on your comments on competition? Donald McClymont The comments on competition were directed at the OEM level, given that there's been a huge emergence of strong Chinese OEMs, which have been taking share from US and European manufacturers, particularly locally in China and the export market has increased. From our perspective, we still see our products as being strongly differentiated. So we haven't seen enhanced competition from local Chinese or others. Any comments specifically around the direction of business happening in China though? Donald McClymont Sorry, I didn't quite catch that. Just the velocity of business in China, what's been happening recently around the tariff situation? Donald McClymont I mean we haven't -- in China has really seen direct impact. I mean our supply chain is China for China. We deploy directly into that market. And with the exception of some ups and downs over the period of Chinese New Year, I mean, their trajectory is still pretty strong. I think BYD as a power company is growing like right now and are of ours, which is in that respect, in spite of the challenges that the general Chinese economy has the power market is strong because of their ability to gain share locally. All right. Can you just talk about your channel inventory situation, both domestically and internationally, how you're seeing any changes impact your level of visibility? Donald McClymont There haven't been material changes in the last quarter or so that differ from the comments that we made in the past with regards All right, thank you guys. Operator Jon Tanwanteng, CJS Securities. Thank you for taking my question.I was wondering if you could update us on your M&A plans. You have some cash on the balance sheet. Has that opportunity set changed with the current uncertainty and volatility that's out there? Or are you still planning to do acquisitions? Donald McClymont I mean, at this point, we want to be very conservative with our balance sheet. So any initial opportunities that we've been looking at are pretty much firmly on the exporting. Understood. And then just with the CFO situation, I was wondering if you could tell us what the plans and time line there are before you fill that. Donald McClymont Yes. So I mean, so we're in the throes of search right now. We're very engaged in that. We have a few candidates that we're talking to and that we're excited about and no firm updates on time line right now, but, what's the space. Okay. Great. And one last one for me. I think you mentioned well over $100 million in incremental annualized revenue, I think, from the design wins you announced in the quarter. Is that what you said? And was there a time frame to that? Donald McClymont So, what I talked about was the individual product lines and the sort of annualized run rate minimum that we expect from those. We didn't specifically update this phone. Operator Thank you. At this time I would like to turn a call back to management for closing comments. Donald McClymont Thanks everybody for your time and see you at the industrial conferences over the course of. Operator Thank you. This does conclude today's teleconference. You may disconnect your lines this time. Thank you for your participation and have a great day. Sign in to access your portfolio
Yahoo
13-05-2025
- Business
- Yahoo
Indie Semiconductor, Inc. (INDI) Reports Q1 Loss, Lags Revenue Estimates
Indie Semiconductor, Inc. (INDI) came out with a quarterly loss of $0.08 per share in line with the Zacks Consensus Estimate. This compares to loss of $0.10 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this company would post a loss of $0.07 per share when it actually produced a loss of $0.07, delivering no surprise. Over the last four quarters, the company has not been able to surpass consensus EPS estimates. indie Semiconductor , which belongs to the Zacks Electronics - Semiconductors industry, posted revenues of $54.08 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 1.67%. This compares to year-ago revenues of $52.35 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Indie Semiconductor shares have lost about 42.5% since the beginning of the year versus the S&P 500's decline of -3.8%. While indie Semiconductor has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for indie Semiconductor: unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.07 on $56.03 million in revenues for the coming quarter and -$0.16 on $263.38 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Electronics - Semiconductors is currently in the top 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Ambarella (AMBA), is yet to report results for the quarter ended April 2025. The results are expected to be released on May 29. This video-compression chipmaker is expected to post quarterly earnings of $0.04 per share in its upcoming report, which represents a year-over-year change of +115.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Ambarella's revenues are expected to be $84.02 million, up 54.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report indie Semiconductor, Inc. (INDI) : Free Stock Analysis Report Ambarella, Inc. (AMBA) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
12-05-2025
- Automotive
- Business Wire
indie Semiconductor Reports First Quarter 2025 Results
ALISO VIEJO, Calif.--(BUSINESS WIRE)--indie Semiconductor, Inc. (Nasdaq: INDI), an automotive solutions innovator, today announced first quarter results for the period ended March 31, 2025. Q1 revenue was up 3.3 percent year-over-year to $54.1 million with Non-GAAP gross margin of 49.5 percent. On a GAAP basis, first quarter 2025 operating loss was $38.9 million compared to $49.6 million a year ago. Non-GAAP operating loss for the first quarter of 2025 was $15.1 million, versus $17.2 million during the same period last year. First quarter 2025 GAAP loss per share was $0.18, while Non-GAAP loss per share was $0.08. 'In Q1, indie delivered year-over-year growth despite persisting negative global macro-economic conditions and accelerated market uncertainty due to the dynamic tariff situation," said Donald McClymont, indie's co-founder and chief executive officer. 'In the context of this challenging market environment, our Q1 results demonstrate an enduring business resilience, with growth through 2025 and beyond underpinned by an innovative product portfolio, strong and growing design-win activity, and multiple anticipated product ramps for our class-leading ADAS solutions.' Business Highlights Secured iND880 vision processor in-cabin monitoring design-win with Valeo for a North American OEM Awarded eMirror design-win for iND880 vision processor for Korean OEM targeting trucks and buses Multiple design-wins in China for GW5 vision processor including Mercedes China for eMirror and BYD for in-cabin monitoring Selected by Bosch for second high-volume in-cabin monitoring application for Toyota iND87200 achieved full Qi wireless charging standards certification by three Tier 1 customers High-performance laser solutions achieve multiple design-wins for industrial measurement applications Surpassed 500 million cumulative chips shipped since company's inception Operational Updates As an acceleration of the previously communicated review of operational expenditure, we have initiated a series of measures expected to be completed by year-end, delivering annualized operational expense reductions of up to $40 million. Q2 2025 Outlook We provide guidance on a non-GAAP basis only because certain information necessary to reconcile such results and guidance to GAAP is difficult to estimate and dependent on future events outside of our control and, therefore, is not available without unreasonable efforts. Please refer to the header captioned 'Discussion Regarding the Use of Non-GAAP Financial Measures' in this release for a further discussion of our use of non-GAAP measures. With the current market uncertainty continuing to impact the timing of anticipated production ramps in 2025, with current visibility, indie expects revenue between $50 and $53 million, or $51.5 million at the mid-point. indie's Q1 2025 Conference Call indie Semiconductor will host a conference call with analysts to discuss its first quarter 2025 results and business outlook today at 5:00 p.m. Eastern time. To listen to the conference call via the Internet, please go to the Financials tab on the Investors page of indie's website. To listen to the conference call via telephone, please call (877) 451-6152 (domestic) or (201) 389-0879 (international), Conference ID: 13752893. A replay of the conference call will be available beginning at 9:00 p.m. Eastern time on May 12, 2025, until 11:59 p.m. Eastern time on May 26, 2025, under the Financials tab on the Investors page of indie's website, or by calling (844) 512-2921 (domestic) or (412) 317-6671 (international), Access ID: 13752893. About indie Headquartered in Aliso Viejo, CA, indie is empowering the automotive revolution with next generation semiconductors, photonics and software platforms. We focus on developing innovative, high-performance and energy-efficient technology for ADAS, in-cabin user experience and electrification applications. Our mixed-signal SoCs enable edge sensors spanning Radar, LiDAR, Ultrasound, and Computer Vision, while our embedded system control, power management and interfacing solutions transform the in-cabin experience and accelerate increasingly automated and electrified vehicles. As a global innovator, we are an approved vendor to Tier 1 partners and our solutions can be found in marquee automotive OEMs worldwide. Please visit us at to learn more. Safe Harbor Statement This communication contains 'forward-looking statements' (including within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended). Such statements can be identified by words such as 'will likely result,' 'expect,' 'anticipate,' 'estimate,' 'believe,' 'intend,' 'plan,' 'project,' 'outlook,' 'should,' 'could,' 'may' or words of similar meaning and include, but are not limited to, statements regarding our future business and financial performance and prospects, including statements regarding general global macro-economic conditions and market uncertainty due to the dynamic tariff situation, expectations regarding our growth, multiple product ramps through 2025 and path to profitability, expected timing, completion and impacts of operational expense reduction measures and other characterizations of future events or circumstances. Such forward-looking statements are based upon the current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are difficult to predict and generally beyond our control. Actual results and the timing of events may differ materially from the results included in such forward-looking statements. In addition to the factors previously disclosed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 filed with the SEC on March 3, 2025 and in our other public reports filed with the SEC (including those identified under 'Risk Factors' therein), the following factors, among others, could cause actual results and the timing of events to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: macroeconomic conditions, including inflation, rising interest rates and volatility in the credit and financial markets, our reliance on contract manufacturing and outsourced supply chain and the availability of semiconductors and manufacturing capacity; competitive products and pricing pressures; our ability to win competitive bid selection processes and achieve additional design wins; the impact of recent acquisitions made and any other acquisitions we may make, including our ability to successfully integrate acquired businesses and risks that the anticipated benefits of any acquisitions may not be fully realized or take longer to realize than expected; our ability to develop, market and gain acceptance for new and enhanced products and expand into new technologies and markets; current and potential trade restrictions and trade tensions, including trade and tariff actions taken or proposed by the US government affecting the countries where we operate and political or economic instability in our target markets. All forward-looking statements in this press release are expressly qualified in their entirety by the foregoing cautionary statements. Investors are cautioned not to place undue reliance on the forward-looking statements in this press release, which information set forth herein speaks only as of the date hereof. We do not undertake, and we expressly disclaim, any intention or obligation to update any forward-looking statements made in this announcement or in our other public filings, whether as a result of new information, future events or otherwise, except as required by law. #indieSemi_Earnings INDIE SEMICONDUCTOR, INC. PRELIMINARY CONDENSED CONSOLIDATED BALANCE SHEETS (Amounts in thousands) (Unaudited) March 31, 2025 December 31, 2024 Assets Current assets: Cash and cash equivalents $ 236,608 $ 274,248 Restricted cash 10,297 10,300 Accounts receivable, net 62,880 52,005 Inventory, net 47,822 49,887 Prepaid expenses and other current assets 24,106 22,308 Total current assets 381,713 408,748 Property and equipment, net 34,868 34,281 Intangible assets, net 203,138 208,944 Goodwill 267,590 266,368 Operating lease right-of-use assets 15,310 16,107 Other assets and deposits 6,403 6,938 Total assets $ 909,022 $ 941,386 Liabilities and stockholders' equity Accounts payable $ 18,474 $ 28,326 Accrued payroll liabilities 6,446 5,573 Contingent considerations 2,873 3,589 Accrued expenses and other current liabilities 26,754 29,297 Intangible asset contract liability 5,500 5,875 Current debt obligations 11,989 12,220 Total current liabilities 72,036 84,880 Long-term debt, net of current portion 367,037 369,097 Intangible asset contract liability, net of current portion 10,593 11,965 Deferred tax liabilities, non-current 11,750 11,660 Operating lease liability, non-current 13,555 14,278 Other long-term liabilities 2,318 4,111 Total liabilities 477,289 495,991 Commitments and contingencies Stockholders' equity Preferred stock — — Class A common stock 19 19 Class V common stock 2 2 Additional paid-in capital 956,888 936,564 Accumulated deficit (528,590 ) (494,044 ) Accumulated other comprehensive loss (22,751 ) (24,655 ) indie's stockholders' equity 405,568 417,886 Noncontrolling interest 26,165 27,509 Total stockholders' equity 431,733 445,395 Total liabilities and stockholders' equity $ 909,022 $ 941,386 Expand INDIE SEMICONDUCTOR, INC. (Unaudited) Expand GAAP refers to financial information presented in accordance with U.S. Generally Accepted Accounting Principles. This press release includes non-GAAP financial measures, as defined in Regulation G promulgated by the Securities and Exchange Commission. We believe that our presentation of non-GAAP financial measures provides useful supplementary information to investors. The presentation of non-GAAP financial measures is not meant to be considered in isolation from or as a substitute for results prepared in accordance with GAAP. The reconciliations of our preliminary GAAP to non-GAAP measures are as follows (in thousands, except share and per share amounts): Three Months Ended March 31, 2025 2024 Computation of non-GAAP gross margin: GAAP revenue $ 54,077 $ 52,353 GAAP cost of goods sold 31,528 30,089 Acquisition-related expenses (110 ) (110 ) Amortization of intangible assets (3,839 ) (3,735 ) Inventory cost realignments — (145 ) Share-based compensation (293 ) (100 ) Non-GAAP gross profit $ 26,791 $ 26,354 Non-GAAP gross margin 49.5 % 50.3 % Expand Three Months Ended March 31, 2025 2024 Computation of non-GAAP operating loss: GAAP loss from operations $ (38,933 ) $ (49,647 ) Acquisition-related and other non-recurring professional expenses 160 1,195 Amortization of intangible assets 5,970 5,771 Inventory cost realignments — 145 Share-based compensation 17,743 25,384 Non-GAAP operating loss $ (15,060 ) $ (17,152 ) Expand March 31, 2025 2024 Computation of non-GAAP net loss: Net loss $ (37,171 ) $ (34,223 ) Acquisition-related and other non-recurring professional expenses 160 1,195 Amortization of intangible assets 5,970 5,771 Inventory cost realignments — 145 Share-based compensation 17,743 25,384 Gain from change in fair value of contingent considerations and acquisition-related holdbacks (4,803 ) (15,359 ) Other expense 736 247 Non-cash interest expense 657 250 Income tax (benefit) expense 56 (1,109 ) Non-GAAP net loss $ (16,652 ) $ (17,699 ) Expand Three Months Ended March 31, 2025 2024 Computation of Non-GAAP EBITDA: Net loss $ (37,171 ) $ (34,223 ) Interest income (2,267 ) (1,309 ) Interest expense 4,516 2,106 Gain from change in fair value of contingent considerations and acquisition-related holdbacks (4,803 ) (15,359 ) Other expenses 736 247 Income tax (benefit) expense 56 (1,109 ) Depreciation and amortization 7,894 7,307 Stock-based compensation 17,743 25,384 Inventory cost realignments — 145 Acquisition-related and other non-recurring professional expenses 160 1,195 Non-GAAP EBITDA $ (13,136 ) $ (15,616 ) Expand Discussion Regarding the Use of Non-GAAP Financial Measures Our earnings release contains some or all of the following financial measures that have not been calculated in accordance with United States Generally Accepted Accounting Principles ('GAAP'): (i) non-GAAP gross profit and gross margin, (ii) non-GAAP operating loss, (iii) non-GAAP net loss, (iv) non-GAAP EBITDA, (v) non-GAAP share count, (vi) non-GAAP net loss and (vii) non-GAAP net loss per share. As set forth in the tables above, we derive such non-GAAP financial measures by excluding certain expenses and other items from the respective GAAP financial measure that is most directly comparable to each non-GAAP financial measure. Management may use these non-GAAP financial measures to, amongst other things, evaluate operating performance and compare it against past periods or against peer companies, make operating decisions, forecast for future periods and to determine payments under compensation programs. These non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by eliminating certain expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods and competitors more difficult, obscure trends in ongoing operations or improve management's ability to forecast future periods. We provide investors with non-GAAP gross profit and gross margin, non-GAAP operating loss, non-GAAP net loss and non-GAAP net loss per share because we believe it is important for investors to be able to closely monitor and understand changes in our ability to generate income from ongoing business operations. We believe these non-GAAP financial measures give investors an additional method to evaluate historical operating performance and identify trends, an additional means of evaluating period-over-period operating performance and a method to facilitate certain comparisons of our operating results to those of our peer companies. We further believe these non-GAAP financial measures allow investors to assess the overall financial performance of our ongoing operations by eliminating the impact of (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) inventory cost realignments, (iv) gains or losses recognized in relation to changes in the fair value of warrants, contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (v) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vi) share-based compensation, and (vii) income tax benefit (expenses). We believe that disclosing these non-GAAP financial measures contributes to enhanced financial reporting transparency and provides investors with added clarity about complex financial performance measures. We do not report a GAAP measure of gross profit or gross margin because certain costs related to contract revenues are expensed as incurred and included in research and development expenses, and not in cost of sales, as it is not practicable for us to bifurcate these expenses. We derive and reconcile non-GAAP gross profit from the most relevant GAAP financial measures by subtracting GAAP cost of sales, adjusted for acquisition-related and other non-recurring professional expenses and share-based compensation, from GAAP revenue. We calculate non-GAAP operating loss by excluding from GAAP operating loss, any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) inventory cost realignments and (iv) share-based compensation. We calculate non-GAAP net loss by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) inventory cost realignments, (iv) gains or losses recognized in relation to changes in the fair value of warrants, contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (v) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vi) share-based compensation, and (vii) income tax benefit (expenses). We calculate non-GAAP EBITDA by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) depreciation of fixed assets, (iv) inventory cost realignments, (v) gains or losses recognized in relation to changes in the fair value of warrants, contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vi) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vii) share-based compensation, and (viii) income tax benefit (expenses). We calculate non-GAAP share count by adding (i) weighted average Class A common stock, (ii) weighted average Class V common stock held by minority shareholders, which are exchangeable into Class A common stock, (iii) Escrow Shares and (iv) vested but unexercised options issued as part of the TeraXion acquisition. Non-GAAP net loss per share is calculated by dividing non-GAAP net loss by non-GAAP share count. We exclude the items identified above from the respective non-GAAP financial measure referenced above for the reasons set forth with respect to each such excluded item below: Acquisition-related and other non-recurring professional expenses - including such items as, when applicable, fair value charges incurred upon the sale of acquired inventory, accounting impact to the cost of goods sold due to one-time inventory costing realignment with a specific supplier, acquisition-related professional fees and legal expenses and other professional fees that are non-recurring in nature because they are not considered by management in making operating decisions and we believe that such expenses do not have a direct correlation to our future business operations and thereby including such charges do not necessarily reflect the performance of our ongoing operations for the period in which such charges or reversals are incurred. Amortization expenses - related to the amortization expense for acquired intangible assets and certain license rights. Depreciation expenses - related to the depreciation expenses for all property and equipment on hand. Inventory cost realignments - related to the supplier allocation premiums introduced during COVID that is currently incorporated in our inventory cost but have since been eliminated going forward. The impact of this premium is deemed non-recurring and therefore not considered by management in its evaluation of the ongoing performance of the business. Share-based compensation - related to the non-cash compensation expense associated with equity awards granted to our employees (including those granted in lieu of cash compensation) and employer tax related to employee stock transactions. These expenses are not considered by management in making operating decisions and such expenses do not have a direct correlation to our future business operations. Restructuring costs - related to the one-time expenses the Company incurs to reorganize its operations, which is primarily related to workforce reduction, facilities and other purchase commitment charges. Gain (loss) from change in fair values - because these adjustments (1) are not considered by management in making operating decisions, (2) are not directly controlled by management, (3) do not necessarily reflect the performance of our ongoing operations for the period in which such charges are recognized and (4) cannot make comparisons between peer company performance less reliable. Non-cash interest expense - related to the amortization of debt discounts and issuance costs because (1) these expenses are not considered by management in making decision with respect to financing decisions, and (2) these generally reflect non-cash costs. Income tax benefit (expense) - related to the estimated income tax benefit (expense) that does not result in a current period tax refunds (payments). The non-GAAP financial measures presented should not be considered in isolation and are not an alternative for the respective GAAP financial measure that is most directly comparable to each such non-GAAP financial measure. Investors are cautioned against placing undue reliance on these non-GAAP financial measures and are urged to review and consider carefully the adjustments made by management to the most directly comparable GAAP financial measures to arrive at these non-GAAP financial measures. Non-GAAP financial measures may have limited value as analytical tools because they may exclude certain expenses that some investors consider important in evaluating our operating performance or ongoing business performance. Further, non-GAAP financial measures are likely to have limited value for purposes of drawing comparisons between companies as a result of different companies potentially calculating similarly titled non-GAAP financial measures in different ways because non-GAAP measures are not based on any comprehensive set of accounting rules or principles. Non-GAAP EBITDA is calculated by removing non-recurring, irregular and one-time items that may distort EBITDA, to the current non-GAAP financial measures. We calculate non-GAAP EBITDA by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) depreciation of property, plant and equipment, (iv) inventory cost realignments, (v) gains or losses recognized in relation to changes in the fair value of warrants, contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vi) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vii) share-based compensation, and (viii) income tax benefit (expenses). To the extent our disclosures contain forward-looking estimates of non-GAAP financial measures, such as our forward-looking outlook for non-GAAP EBITDA, these measures are provided to investors on a prospective basis for the same reasons (set forth above) we provide them to investors on a historical basis. We are generally unable to provide a reconciliation of our forward-looking non-GAAP measures because certain information needed to make a reasonable forward-looking estimate of such non-GAAP measures are difficult to predict and estimate and is often dependent on future events that may be uncertain or outside of our control and, therefore, is not available without unreasonable efforts. Such events may include unanticipated changes in our GAAP effective tax rate, unanticipated one-time charges related to asset impairments (fixed assets, inventory, intangibles, or goodwill), unanticipated acquisition-related and other non-recurring professional expenses, unanticipated settlements, gains, losses and impairments and other unanticipated items not reflective of ongoing operations. Our forward-looking estimates of both GAAP and non-GAAP measures of our financial performance may differ materially from our actual results and should not be relied upon as statements of fact.
Yahoo
13-04-2025
- Business
- Yahoo
Investors in indie Semiconductor (NASDAQ:INDI) from five years ago are still down 79%, even after 30% gain this past week
It's nice to see the indie Semiconductor, Inc. (NASDAQ:INDI) share price up 30% in a week. But that doesn't change the fact that the returns over the last half decade have been stomach churning. Indeed, the share price is down a whopping 79% in that time. It's true that the recent bounce could signal the company is turning over a new leaf, but we are not so sure. The fundamental business performance will ultimately determine if the turnaround can be sustained. While the stock has risen 30% in the past week but long term shareholders are still in the red, let's see what the fundamentals can tell us. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. Because indie Semiconductor made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth. Over five years, indie Semiconductor grew its revenue at 48% per year. That's well above most other pre-profit companies. So it's not at all clear to us why the share price sunk 12% throughout that time. It could be that the stock was over-hyped before. We'd recommend carefully checking for indications of future growth - and balance sheet threats - before considering a purchase. You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image). This free interactive report on indie Semiconductor's balance sheet strength is a great place to start, if you want to investigate the stock further. indie Semiconductor shareholders are down 67% for the year, but the market itself is up 5.1%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Regrettably, last year's performance caps off a bad run, with the shareholders facing a total loss of 12% per year over five years. We realise that Baron Rothschild has said investors should "buy when there is blood on the streets", but we caution that investors should first be sure they are buying a high quality business. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For example, we've discovered 1 warning sign for indie Semiconductor that you should be aware of before investing here. We will like indie Semiconductor better if we see some big insider buys. While we wait, check out this free list of undervalued stocks (mostly small caps) with considerable, recent, insider buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
